Gold Price Prediction for September 29, 2017

Gold prices rebounded from session lows closing up on the session, as inflation continues to remain buoyed in Europe.  The dollar finally took as respite after climbing most of the week, which paved the way for the yellow metal to rebound. Support is seen near the August 24, lows at 1,275, and resistance is seen near the 10-day moving average at 1,299. Momentum remains negative as the MACD (moving average convergence divergence) histogram prints in the red with a downward sloping trajectory which points to lower prices.

German Inflation is Steady

German HICP inflation steady at 1.8% year over year in September, according to preliminary data. The national CPI rate also held steady at 1.8% year over year, despite the fact that energy and food price inflation accelerated sharply. Energy prices rose 2.7% year over year, after rising 2.3% year over year in the previous month. Food price inflation accelerated to 3.6% year over year from 3.0% year over year. Services price inflation meanwhile held steady at 1.6% year over year.